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March 03, 1956

Note: The Agreement entered into force, March 3, 1956.

Reference: This Agreement is also published in 270 UNTS, p. 400.

I

THE AMERICAN AMBASSADOR TO THE PHILIPPINE ACTING SECRETARY OF FOREIGN AFFAIRS

AMERICAN EMBASSY

No. 0099

Manila, July 27, 1953

Excellency:

I have the honor to refer to my note No. 1315, dated June 26, 1953 and to Your Excellency's reply of the same date extending the Military Assistance Agreement between out two Governments, and in implementation of Paragraph 3 thereof to propose the following respecting the disposition of equipment and material furnished by the United States under the Military Assistance Agreement of March 21, 1947, the Mutual Defense Assistance Act 1949, and the Mutual Security Act of 1951 and acts amendatory and supplementary thereto, found surplus to the needs of the Armed Forces of the Philippines.

STATEMENT OF PROCEDURES

1. The Government of the Republic of the Philippines will report to the Joint United States Military Advisory Group such equipment and material, other than equipment and material, other than equipment and material furnished under terms requiring reimbursement, as are no longer required in the furtherance of its programs under Military Assistance Agreements between the United States and Philippine Governments, or are in excess of mutually agreed levels of reserve stocks. Such equipment and material reported by the Philippine Government shall revert to control of the United States; title to this property will remain with the Philippine Government until disposal instructions are issued by the United States Government.

2. The United States Government may accept title to such equipment and material for transfer to a third country or for such other disposition as may be made by the United States Government.

3. When title is accepted by the United States Government, such equipment and material will be delivered free alongside ship in case ocean shipment is required, or delivered free on board inland carrier at a shipping point designated by the Joint United States Military Advisory Group or free to a United States installation within the Philippines designated by the Joint United States Military Advisory Group in the event ocean shipping is not required.

4. Such property reported no longer required in the Mutual Defense Assistance Program of the Government of the Republic of the Philippines and not accepted by the Government of the United States for redistribution or return will be disposed of as agreed between the Governments of the Republic of the Philippines and the United States.

5. Any salvage or scrap from property furnished under Military Assistance Agreements shall be reported to the Government of the United States in accordance with Paragraph 1 and shall be disposed of in accordance with Paragraphs 2, 3 and 4 of this agreement. Salvage and scrap which is not accepted by the United States will be used to support the defense effort of the Philippines or other countries to whom military assistance is being furnished by the United States.

6. The Philippine Government agrees that it will not make any of the property or scrap or salvage from such property, referred to in paragraphs 4 and 5 above, available to any recipient whose interests are inimical to those of the United Slates of America or of the Republic of the Philippines.

If this Statement of Procedures is agreeable to Your Excellency's Government, this note and Your Excellency's acknowledgment and acceptance of the understanding contained herein will constitute an agreement between our two Governments.

Accept, Excellency, the renewed assurances of my highest consideration.

R. A. SPRUANCE

The Honorable FELINO NERI
Acting Secretary of Foreign Affairs
Republic of the Philippines

II

THE PHILIPPINE SECRETARY OF FOREIGN AFFAIRS TO THE AMERICAN AMBASSADOR

REPUBLIC OF THE PHILIPPINES
DEPARTMENT OF FOREIGN AFFAIRS

No. 567

Manila, March 3, 1956

Excellency:

I have the honor to refer to former Ambassador Raymond A. Spruance's Notes No. 0099 dated July 27, 1953, and No. 1315 dated June 26, 1953, respecting the disposition of equipment and material furnished by the United States under the Mutual Defense Assistance Act of 1949, the Mutual Security Act of 1951, and Acts amendatory and supplementary thereto, found surplus to the needs of the Armed Forces of the Philippines.

I wish to inform Your Excellency that my Government has reconsidered its previous stand on the Statement of Procedures contained in my note to former Ambassador Spruance dated August 6, 1954.

I am happy to inform Your Excellency that my Government now accepts the proposed Statement of Procedures' quoted in the aforementioned note without any condition.

Accordingly I hereby withdraw my aforementioned note of August 6, 1954 addressed to former Ambassador Spruance.

Accept, Excellency, the renewed assurances of my highest consideration.

CARLOS P. GARCIA
Secretary

His Excellency HOMER FERGUSON
American Ambassador
Manila